📊 ATXG Key Takeaways
Is Addentax Group Corp.. (ATXG) a Good Investment?
ATXG faces existential operational collapse with zero revenue and -$4.5M net losses, indicating complete business breakdown rather than temporary decline. While the balance sheet shows low debt (0.05x D/E) and strong liquidity ratios, these cannot offset the fundamental failure to generate revenue or positive operating cash flow (-$784.5K FCF), resulting in value destruction (ROE -20.5%, ROA -15.3%).
Fundamentals indicate severe operating deterioration, with reported revenue falling to zero while operating and net losses remain substantial and free cash flow is negative. Strong liquidity and low leverage provide some balance-sheet protection, but limited cash, negative returns, weak interest coverage, and inconsistent revenue and gross-profit data materially undermine financial health and growth quality.
Addentax Group Corp.. Key Strengths (ATXG)
- Low leverage with debt-to-equity of 0.05x provides financial flexibility
- Strong current ratio of 7.47x indicates short-term liquidity is available for operations
- Positive stockholders' equity of $21.8M preserves some asset backing
- High current and quick ratios of 7.47x and 7.42x
- Low long-term debt and debt-to-equity ratio of 0.05x
- Stockholders' equity of $21.80 million provides a meaningful capital cushion
ATXG Stock Risks: Addentax Group Corp.. Investment Risks
- Complete revenue collapse (-100% YoY) signals total loss of business operations
- Significant operating losses of -$1.5M with negative cash flow burn of -$784.5K quarterly is unsustainable
- Negative returns (ROE -20.5%, ROA -15.3%) indicate systematic value destruction and inefficient asset utilization
- Cash runway at current burn rate (~$784.5K/quarter) limited to 9 months despite $574.3K cash position
- Reported revenue declined 100% to zero, suggesting a collapse in core operations or a serious reporting comparability issue
- Net loss of $4.47 million and negative ROE and ROA demonstrate persistent value destruction
- Negative operating cash flow, negative free cash flow, limited cash reserves, and negative interest coverage create funding risk
Key Metrics to Watch
- Revenue recovery trajectory and return to positive operating margins
- Operating cash flow stabilization and path to positive FCF
- Cash position depletion rate relative to burn and available liquidity reserves
- Revenue recovery and reconciliation of the reported gross profit despite zero revenue
- Operating cash flow and cash balance
Addentax Group Corp.. (ATXG) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 7.47x current ratio provides a solid financial cushion.
ATXG Profit Margin, ROE & Profitability Analysis
ATXG vs Services Sector: How Addentax Group Corp.. Compares
How Addentax Group Corp.. compares to Services sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Addentax Group Corp.. Stock Overvalued? ATXG Valuation Analysis 2026
Based on fundamental analysis, Addentax Group Corp.. has mixed fundamental signals relative to the Services sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Addentax Group Corp.. Balance Sheet: ATXG Debt, Cash & Liquidity
ATXG Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Addentax Group Corp..'s revenue has declined by 78% over the 5-year period, indicating business contraction. The most recent EPS of $-12.75 indicates the company is currently unprofitable.
ATXG Revenue Growth, EPS Growth & YoY Performance
ATXG Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $864.9K | -$1.1M | N/A |
| Q2 2026 | $820.7K | -$102.8K | N/A |
| Q1 2026 | $851.0K | -$392.4K | $-0.06 |
| Q3 2025 | $1.1M | -$1.1M | $-0.19 |
| Q2 2025 | $1.3M | -$721.5K | $-0.13 |
| Q1 2025 | $851.0K | -$1.2M | $-0.25 |
| Q3 2024 | $1.5M | -$82.2K | $0.00 |
| Q2 2024 | $1.3M | $83.2K | $0.00 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Addentax Group Corp.. Dividends, Buybacks & Capital Allocation
ATXG SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Addentax Group Corp.. (CIK: 0001650101)
📋 Recent SEC Filings
❓ Frequently Asked Questions about ATXG
What is the AI rating for ATXG?
Addentax Group Corp.. (ATXG) has a Combined AI Grade of D from Claude (D) and ChatGPT (D) with 92% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are ATXG's key strengths?
Claude: Low leverage with debt-to-equity of 0.05x provides financial flexibility. Strong current ratio of 7.47x indicates short-term liquidity is available for operations. ChatGPT: High current and quick ratios of 7.47x and 7.42x. Low long-term debt and debt-to-equity ratio of 0.05x.
What are the risks of investing in ATXG?
Claude: Complete revenue collapse (-100% YoY) signals total loss of business operations. Significant operating losses of -$1.5M with negative cash flow burn of -$784.5K quarterly is unsustainable. ChatGPT: Reported revenue declined 100% to zero, suggesting a collapse in core operations or a serious reporting comparability issue. Net loss of $4.47 million and negative ROE and ROA demonstrate persistent value destruction.
What is ATXG's revenue and growth?
Addentax Group Corp.. reported revenue of $0.0.
Does ATXG pay dividends?
Addentax Group Corp.. does not currently pay dividends.
Where can I find ATXG SEC filings?
Official SEC filings for Addentax Group Corp.. (CIK: 0001650101) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is ATXG's EPS?
Addentax Group Corp.. has a diluted EPS of $-6.27.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is ATXG's fundamental grade?
Based on our AI fundamental analysis in August 2026, Addentax Group Corp.. has a D grade with 92% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is ATXG stock overvalued or undervalued?
Valuation metrics for ATXG: ROE of -20.5% (sector avg: 16%), net margin of N/A (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
What is ATXG's AI grade for 2026?
Our dual AI analysis gives Addentax Group Corp.. a combined D grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is ATXG's free cash flow?
Addentax Group Corp..'s operating cash flow is $-603.6K, with capital expenditures of $180.9K.
How does ATXG compare to other Services stocks?
Vs Services sector averages: Net margin N/A (avg: 10%), ROE -20.5% (avg: 16%), current ratio 7.47 (avg: 1.5).